Real estate has been, and remains, the foundation of wealth building for the middle class and a critical link in the flow of goods, services and income for millions of Americans. Accounting for nearly 17 percent of the GDP, real estate is clearly a major driver of the U.S. economy.
How is the housing market in your state affecting the local economy? NAR calculated the total economic impact of real estate-related industries on the state economy, as well as the expenditures that result from a single home sale, including aspects like home construction costs, real estate brokerage, mortgage lending and title insurance.
Nationwide, NAR estimates that each home sale at the median generated nearly $85,000 of economic impact in 2018.
The top 10 states with the highest income generated from a home sale in 2018 are:
- Hawaii - $246,980
- District of Columbia - $224,730
- California - $173,130
- Colorado - $129,050
- Washington - $126,170
- Massachusetts - $125,090
- Oregon - $116,840
- Nevada - $96,150
- Maryland - $95,910
- Utah - $95,400
Find out how much the real estate industry is affecting the gross state product for your area.